Bonds, notes, or warrants issued under this chapter and:

1. (1) proceeds received from their sale by a holder, to the extent of the holder's cost of acquisition;
2. (2) proceeds received on their redemption before maturity;
3. (3) proceeds received at their maturity; and

4. (4) interest received on them;

   are exempt from state taxes as provided by IC 6-8-5 .

   [Pre-Local Government Recodification Citation: 18-6-4.5-25.]

   As added by Acts 1981, P.L.309, SEC.31. Amended by Acts 1982, P.L.28, SEC.11.